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All. Together. Now.Coronavirus - support for businesses

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This document outlines some of the support available to you and your business to ensure you’re well prepared for now and the future.

Coronavirus – All. Together. Now.

It’s clear that coronavirus has everyone feeling on edge and uncertain at the moment. During these times, we believe it’s imperative to make sure you feel supported and continue to get the help your business needs.

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ContentsGovernment support for businesses 4 & 5

Practical tips 6

Fraud and Scams, things to look out for 7

How we’re supporting our customers 8

Visit us online

Business customers: santander.co.uk/business

Corporate customers: santandercb.co.uk/coronavirus

Coronavirus – All. Together. Now.

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Coronavirus Large Business Interruption Loan Scheme (CLBILS) Term Loan The Coronavirus Large Business Interruption Loan Scheme (CLBILS) provides financial support to mid-sized and larger UK businesses across the UK that are losing revenue, and seeing their cashflow disrupted, as a result of the coronavirus outbreak.

CLBILS supports Santander business finance products including:

- Term Loans

- Revolving Credit Facilities (RCF)

To be eligible, your company must:

- be UK based, with an annual group turnover of above £45 million

- the amount requested for a CLBILS Facility must be at least £50,001 and not be greater than £200 million*

- in each case, the total amount borrowed under CLBILS cannot be greater than the higher of:

i. double the annual wage bill in respect of the United Kingdom business of the relevant Borrower (including social charges as well as the cost of personnel working on the undertaking’s site but formally in the payroll of subcontractors) for 2019, or for the last year available, (and, in the case of an Applicant created on or after 1 January 2019, the estimate of such wage bill of the first two years of operation); or

ii. 25% of the total turnover of the United Kingdom business of the Borrower in 2019; or

iii. with appropriate justification and based on self-certification of the Borrower of its liquidity needs, an amount to cover the liquidity needs of the United Kingdom business of the Borrower for the 12 months following the granting of the relevant Scheme Facility.

For full details on CLBILS please visit our page or contact your Relationship Director.

*Facilities greater than £50m are subject to further restriction on dividend payments, senior pay and share buy-back during the period of the facility. Please speak with your Relationship Team for further information.

Coronavirus Business Interruption Loan Scheme (CBILS) - Coronavirus Business Interruption Loan Scheme (CBILS)

supports UK businesses with access to finance during the coronavirus outbreak.

- Through CBILS, businesses may be able to apply for a term loan of up to 6 years, or an overdraft of up to 3 years with a maximum value of £5 million.

- The scheme provides lenders with a partial government backed guarantee against the loan balance.

It’s important to note that, if successful in your application, your business will remain responsible for the whole repayment of the debt.

CBILS supports Santander business finance products including: - Term Loans - available up to 6 years

- Overdrafts - available up to 3 years

To be eligible, your business must: - be UK based, with turnover of no more than £45 million per

annum

- operate within an eligible sector – for more information visit the British Business Bank

- have a sound borrowing proposal and be viable (notwithstanding the disruption caused by the current coronavirus pandemic)

- for more details on CBILS please visit our page or contact your Relationship Director.

Bounce Back Loan Scheme (BBLS) The Bounce Back Loan Scheme (BBLS) provides government

backed loans from £2,000 up to £50,000 (or 25% of your annual turnover, whichever is lower) to businesses affected by the coronavirus outbreak.

The length of the loan is 6 years, but you can repay early without paying a fee. No repayments will be due during the first 12 months.

The scheme provides lenders with a 100% government backed guarantee against the loan balance. There won’t be any fees or interest to pay for the first 12 months. After 12 months the interest rate will be 2.5% a year.

To be eligible, your company must:

- have a Santander or Cater Allen current account opened before 1 March 2020

- be a UK based business that has been impacted by coronavirus - not have already applied for or received a Bounce Back

Loan (BBL) for your business, or for another business in your group

- not already have a CBILS, CLBILS or CCFF unless you’re refinancing it in full by taking a Bounce Back Loan

- not be a Relevant Financial Institution (RFI), nor intend to become an RFI (as defined within Article 2 of the Financial Services and Markets Act 2000 (Excluded Activities and Prohibitions) Order 2014).

Full eligibility details are included within the online application process. For further information and to find out how to apply, please visit our website or contact your Business Banking Manager.

Business rates holiday Businesses in the retail, hospitality and leisure sectors in England won’t have to pay business rates for the 2020-21 tax year. For more information visit business rates holiday for retail, hospitality and leisure.

Regional government support Scotland - gov.uk/guidance/coronavirus-covid-19-

information-for-individuals-and-businesses-in-scotland

Wales - gov.uk/guidance/coronavirus-covid-19-information-for-individuals-and-businesses-in-wales#business-support-helplines

Northern Ireland - gov.uk/government/news/covid-19-guidance-information-for-ni-businesses-employers#businesses

Coronavirus – All. Together. Now.

Government support for businesses

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Coronavirus – All. Together. Now.

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Government support for businesses Business rates holiday for nurseries For businesses registered in England only. Nurseries do not have to pay business rates for the 2020-21 tax year. For more information visit business rates holiday for nurseries.

Small business grant funding For businesses registered in England only, but alternative schemes are available nationally. A one-off grant of £10,000 is available to eligible businesses (in receipt of small business rate relief (SBRR), rural rate relief (RRR) and tapered relief) to help meet their ongoing business costs. For more information visit small business grant funding.

Cash grants For businesses registered in England only, but alternative schemes are available nationally. Businesses in the retail, hospitality or leisure sectors with a rateable value of under £15,000 can receive a grant of £10,000. Businesses with a rateable value of between £15,001 and £51,000 can receive a grant of £25,000. For more information visit cash grant for retail, hospitality and leisure.

Time to pay All businesses and self-employed people may be eligible to receive support with their tax affairs through HMRC’s Time to Pay service. Contact HMRC helpline on 0800 0159 559 for guidance. For more information visit support for businesses paying tax.

VAT deferral All VAT-registered UK businesses can defer VAT payments for three months. For more information visit VAT deferral.

Coronavirus job retention scheme All UK employers with PAYE can access support to continue paying part of their employees’ salary for those that otherwise would have been laid off during this crisis. HMRC will reimburse 80% of their wages, up to £2,500 per month. For more information visit coronavirus job retention.

Statutory Sick Pay rebate This refund will cover up to two weeks’ SSP per eligible employee who has been off work because of coronavirus. For more information visit Statutory Sick Pay.

Deferral of self-assessment payment The deferment is intended to assist self-assessment taxpayers, including those who are self-employed, affected by the impact of coronavirus. For more information visit deferral of self assessment.

If you’re self-employed HM Government has put a number of measures in place to support you. For more information visit self employment income support scheme.

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Capital repayment holidays - Ask for capital repayment holidays covering both personal and business debt.

Preserve cash – Collect as much from debtors as you can, negotiate payment terms with creditors, maintain strict discipline on your cashflow.

Reduce costs - Postpone recruitment until absolutely necessary, delay and review contracts with suppliers, review the need for every item of expenditure and review licenses and subscriptions.

Online sales - Reconnect with clients: Now is a great time to review your e-commerce, remote or telephone sales capabilities. Test new approaches and get feedback from clients and prospects. For more information contact afsar.hussain@santander.co.uk

Develop a 30/60/90-day plan – This will help you prioritise what you need to do and when as well as start to put some revised strategies in place for everything from sales to marketing to finance. You can even start planning for growth beyond the current crisis.

Access local business support: - Local Enterprise Partnerships - Coordinating local support via

Growth Hubs who will be able to provide business support at a local level. For more information visit: lepnetwork.net/growth-hubs

- Business Improvement Districts – There are over 300 BIDS nationally delivering services to businesses and communities. Some businesses will be aware of their local BID as they may pay towards one as part of their business rates, but many businesses will be unaware of the support they can provide. For more information visit: placemanagement.org/special-interest-groups/welcome-to-the-bid-foundation/about-bids/#bids-map

- British Chambers of Commerce - Accredited Chambers of Commerce can be found in every region and nation of the UK, providing businesses with on-the-ground support and lobbying on their behalf. For more information visit: britishchambers.org.uk/page/join-a-chamber

Your financial business plan should: - Provide an explanation of the impact of coronavirus on your

business.

- Set the quantum and serviceability of the proposed loan.

- Make reference to the trading performance prior to the onset of the current crisis and stress testing your forecasts with a detailed sensitivity analysis.

Practical tips

Other Sources of Support

If you need specific human resources support visit Peninsula Business Services at santander.co.uk/business/business-support/hr-services-from-peninsula for more information.

Make sure your business is adequately insured, especially if you’re unable to remain in your premises. You can protect your business with us by visiting santander.co.uk/business/insurance.

We know that your wellbeing is important, that’s why we’re working with our partner Thrive to bring you access to their NHS approved mental wellbeing app. Download by searching Thrive: Mental Wellbeing on your app store, and use the code WELLBEINGSME20 during sign up to receive three months free access over the period April 9th to July 9th 2020. You can continue to subscribe to the app after the 3 month period by contacting Thrive directly. These memberships are provided by our partner Thrive on a first come first serve basis, once all 1,000 memberships have been fulfilled you will need to contact Thrive directly for additional support.

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1. ‘Face mask for sale’ – Criminals post fake adverts online selling coronavirus-related protective equipment and health products, including face masks and hand sanitiser. They may even claim there’s a test kit you can purchase. You pay over your money, but the goods never arrive.

2. An act of kindness – Criminals offer help and support with day to day activities, such as getting your shopping in. Many people are genuinely doing this for free, but criminals will ask for the money up front or say you need to hand over your card and share your PIN.

3. Impersonation emails – Criminals impersonate genuine organisations, such as the World Health Organisation (WHO) or HMRC. They send emails asking you to click on a link to receive more information or to donate money to help others out. But these links go to fake sites where you’re asked to enter your details, or they’ll install malicious software on to your computer/device.

4. Help for those in difficulty – Criminals pose as someone stuck abroad or needing financial support because of the coronavirus outbreak. They convince you to send them money, but it ends up in the hands of the criminal.

5. ‘We’ve got a vaccine’ – Criminals try to trick people in to reserving a coronavirus vaccine, or to secure other health products over the phone. The caller claims to be from a legitimate organisation and asks for your personal and card details to secure the transaction. You pay the money, but the goods never materialise.

6. ‘Your money’s at risk’ – Criminals call you pretending to be from Santander or another legitimate organisation. They tell you that your money is at risk and it needs to be transferred immediately to a new account. The story is fabricated, and the money is actually transferred to the criminal’s account.

Fraud and scams, things to look out for:Knowing our key fraud advice will help you protect you, your friends and your family; pass it on to someone you care about.

Always take five and verify any contact thoroughly – use trusted sources and publicly available telephone numbers.

Never rely on a caller’s phone number to verify their identity. Fraudsters can ’spoof’ a phone number to make you believe it’s a genuine call.

Remember, a genuine organisation will never rush you in to acting. If you’re ever unsure of what you’re being asked to do, take your time and don’t be rushed.

Avoid paying by money transfer when buying online. Pay with secure payment methods, such as Paypal or your credit/debit card.

Never transfer or withdraw money out of your account if you’re instructed to do so for security reasons. Santander or the police will never ask you to do this.

Never click on links or attachments in emails received out of the blue and never enter your online banking details after following an email link.

Always be honest with Santander regarding the reason for the payment and why you’re are making it. Read/listen to all fraud and scam warnings given to you.

Never send money to someone you’ve recently met, or someone who’s told you they urgently need you to send money, this could be a scam.

Coronavirus – All. Together. Now.

Fraud and scams, things to look out for:

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Continue to protect your business against cybercrime, visit Santander fraud and security for our top tips and things to look out for.

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The scams

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Santander’s prompt action and exceptional service has allowed us to focus on securing our business and employees. CBILS facilities provides us with the crucial buffer we need and exactly what businesses need from their banking partner during these uncertain times

How we’re supporting our customers

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Chris Booth,Managing Director, Ducati Manchester

Coronavirus – All. Together. Now.

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Santander Corporate & Commercial is a brand name of Santander UK plc (which also uses the brand name Santander Global Corporate Banking) and Santander Asset Finance plc. Registered Offices: 2 Triton Square, Regent’s Place, London, NW1 3AN, United Kingdom. Registered Numbers 2294747 and 1533123 respectively. Registered in England and Wales. Santander UK plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Our Financial Services Register number is 106054. You can check this on the Financial Services Register by visiting the FCA’s website www.fca.org.uk/register Santander and the flame logo are registered trademarks. MC0663_1 JUL 20 H